Question

Carnival Cruise Lines represents the classic “American dream” of growing a small company into a world- recognized business. What began as a single secondhand ship and a one- way trip from Miami to San Juan has grown into the “The World’s Most Popular Cruise Line.” Carnival Cruise Lines was formed in 1972 by Ted Arison. The business started as a small- time operation but continued to grow into the world’s most sailed and most profitable cruise line. In 1987, the business decided to become a corporation. Today Carnival Corporation is the world’s first global cruise operator, operating with 12 brands, including Carnival, Princess Cruises, and Holland America Line. Why did Carnival Cruise Lines decide to become a corporation? What are the advantages and disadvantages of a corporation?